While big cable and phone companies tell you that you don’t need fiber optic broadband speeds, EPB, a publicly-owned utility in Chattanooga, Tenn., thinks otherwise.
While you plod along with 3-10Mbps, learn more about Chattanooga’s 1Gbps broadband network delivering truly lightning-fast speeds today — right now — at an affordable price. What has your broadband provider done for you lately? (6 minutes)
I spent the better part of today finding, assembling, and finally uploading the audio and video content covering Canada’s ongoing hearings about Internet Overcharging. Locating and editing the content took about two hours, writing the piece to accompany it took another hour, and then everything s l o w e d down from there.
Uploading several hundred megabytes of audio and video, included in today’s articles, was by far the most cumbersome part of the operation. In all, it took nearly four hours to upload a handful of video and audio files, and that saturated our cable modem to the brink of un-usability.
While most providers concentrate upgrades on boosting download speeds, upload speeds have remained remarkably consistent — and painfully slow, for several years now.
Time Warner Cable, which provides our Internet connection, tops out at just 1Mbps for uploads locally, and it is slower during peak usage times. Contrast that with 2Mbps in more competitive cities (with 5Mbps now common wherever DOCSIS 3 technology has been deployed). Still, at least it is better than the 384kbps residents in upstate New York contended with for a decade earlier.
Cable modem technology is built on the premise that you will download far more than you will need to upload, and speeds are provided accordingly. DSL service from some phone companies has managed to keep up with upload speeds… barely, if only because many cable providers have largely ignored the upstream component.
But as the Internet and social media become a more interactive part of our lives, we increasingly need to give as much as we get, and our Internet Service Providers continue to let us down in too many cases.
The one exception is fiber-to-the-home service, which can deliver synchronous (identical upload and download) speeds to their customers. Community-owned fiber networks continue to be the kindest to their customers, thinking of speed equality as an advantage, not a marketing option that commands a high price. Many of these networks are owned and operated by local governments — you know, the people we’re told never do anything right.
Yet in many instances they alone have the prescience to recognize broadband speeds have a direct impact on efficiency — at home and at work. Many are building networks that leverage as many megabits per second they can get. Why? Because they can. Such a response is scoffed at by many cable and phone companies, most of whom claim you don’t need that kind of speed.
For those of us without access to such state-of-the-art networks, we’ll have to continue setting our sights considerably lower. Time Warner will finally bring 50/5Mbps service to Rochester early this year. As far as they’re concerned, we should be glad to have it. It will cost just shy of $100 per month on a standalone basis. If we lived in Chattanooga, Tenn., home of EPB, the municipal broadband provider would sell us 50/50Mbps service for nearly $20 a month less — $79.99 per month.
Canada’s House of Commons Standing Committee on Industry Science and Technology has taken an in-depth look at Internet Overcharging in an ongoing series of hearings to explore Bell’s petition to charge usage-based billing. The request, earlier approved by the Canadian Radio-television and Telecommunications Commission (CRTC), would end flat rate, unlimited usage plans across the country, and mandate Bell’s proscribed usage cap regime on every ISP in Canada.
Remarkably, even Canada’s Conservative Party, which laid the deregulatory framework that allowed Canada’s barely-competitive market to stick it to consumers and small businesses, refuses to defend the overcharging schemes.
So far, the three hearings deliver everything Stop the Cap! has warned about since we began this fight in the summer of 2008:
Proof that usage caps, and consumption-based billing have nothing to do with cost recovery or fairness. They are, at their root, economically engineered to discourage use of the Internet and protect revenue from the provider’s other businesses, especially video.
There is no evidence of a data tsunami, exaflood, or whatever other term providers and their financially-connected allies in the equipment business cook up to warn about an explosion of data usage mandating control measures. Data usage is increasing at a slower rate than the development of new equipment and fiber pipelines to manage it.
Nobody ever saves a thing with Internet Overcharging schemes. While Bell and other providers make up scary stories about “heavy users” picking “innocent” users’ pockets, it’s the providers themselves making all the money. In fact, bytes of data have no intrinsic value. The pipelines that deliver data at varying speeds do, which is why providers are well-compensated for use of them. Levying additional charges for data consumption is nothing more than extra profit — a broadband usage tax. Providers make plenty selling users increasingly profitable connections based on speed. They do not need to be paid twice.
For all the talk about the need to invest in network expansion, Bell has reduced infrastructure spending on its core broadband networks the last three years’ running. They are spending more on deploying Internet Protocol TV (IPTV), a service the company swears has nothing to do with the Internet or their broadband service (despite the fact it travels down the exact same pipeline).
Caps and usage billing never bring about innovation, except from providers looking for new ways to charge their customers more for less service.
I strongly encourage readers to spend an evening watching and listening to these hearings. At least download the audio and let Canada’s broadband story penetrate. You will laugh, cringe, and sometimes want to throw things at your multimedia player.
In the end, the hearings illustrate the points we’ve raised here repeatedly over the past three years, and it only strengthens our resolve to battle these Internet pricing ripoffs wherever they appear. If you are a Canadian citizen,write your MP and demand an end to “usage-based billing” and make it clear this issue is paramount for your vote at the next election. Don’t debate the numbers or waste time “compromising” on how much you want to be ripped off. There is no middle ground for usage-based pricing. It should be rejected at every turn, everywhere, with no compromises. After all, aren’t you paying enough for your Internet connection already?
The Standing Committee on Industry, Science and Technology
Meeting # 54 – Usage-based Billing Practices
February 3, 2011
This video is encoded in the Windows Media format which presents some technical challenges. Full screen or 200% zoom-viewing mode is recommended.
[For Windows users, right click the video and select ‘Zoom->Full Screen’ or ‘Zoom->200%’.]
This hearing was televised and had the most media attention. Testimony from the CRTC was decidedly defensive, and almost entirely in support of usage-based billing and Bell’s petition. The Commission found no friends in this hearing.
Appearing from the Canadian Radio-television and Telecommunications Commission: Konrad W. von Finckenstein, Chairman; Len Katz, Vice-Chairman, Telecommunications; Lynne Fancy, Acting Executive Director, Telecommunications. (1 hour, 29 minutes)
The Standing Committee on Industry, Science and Technology
Meeting # 55 – Usage-based Billing Practices
February 8, 2011
The second in a series of hearings exploring Usage-based billing included witnesses from independent Internet Service Providers who could face extinction if they are forced to pay higher prices for wholesale broadband access.
Appearing: Rocky Gaudrault, CEO of TekSavvy Solutions Inc., Matt Stein, vice-president of network services for Primus Telecommunications Canada, and Jean-François Mezei, a Montreal-based telecommunications consultant who most recently petitioned the CRTC to repeal its decision. (120 minutes)
You must remain on this page to hear the clip, or you can download the clip and listen later.
The Standing Committee on Industry, Science and Technology
Meeting # 56 – Usage-based Billing Practices
February 10, 2011
The third in a series of hearings exploring Usage-based billing included witnesses from Bell Canada, which originally proposed the idea, and additional testimony from independent Internet Service Providers and their trade association, and consumer advocates who oppose the pricing scheme.
Appearing: OpenMedia.ca: Steve Anderson, Founder and National Coordinator. Bell Canada: Jonathan Daniels, Vice-President, Law and Regulatory Affairs; Mirko Bibic, Senior Vice-President, Regulatory and Government Affairs. Shaw Communications Inc.: Jean Brazeau, Senior Vice-President, Regulatory Affairs; Ken Stein, Senior Vice-President, Corporate and Regulatory Affairs. Canadian Association of Internet Providers: Monica Song, Counsel, Fraser Milner Casgrain LLP. MTS Allstream Inc.: Teresa Griffin-Muir, Vice-President, Regulatory Affairs. Union des consommateurs: Anthony Hémond, Lawyer, Analyst, policy and regulations in telecommunications, broadcasting, information highway and privacy. Canadian Network Operators Consortium Inc.: Bill Sandiford, President; Christian S. Tacit, Barrister and Solicitor, Counsel. (128 minutes)
You must remain on this page to hear the clip, or you can download the clip and listen later.
EchoStar Corporation, which makes equipment and provides satellites for Dish Network, today announced it has agreed to buy Hughes Communications, Inc., for about $1.32 billion.
The deal means Dish, the second-largest U.S. satellite television provider, could be one step closer to providing a national data service to its customers. Hughes operates a “broadband” satellite network, which almost entirely serves rural areas.
Much maligned by its customers, who consider the service’s high prices, low speeds and even lower usage caps “fraudband,” Hughes’ satellite service has been up for sale for some time.
The purchase “brings together the two premier providers of satellite communications services and delivers substantial value to our shareholders,” Pradman Kaul, chief executive officer of Hughes said in the statement.
Satellite television companies have increasingly been at a disadvantage because they cannot sell a true “triple-play” package of television, Internet, and phone service to customers who commonly bundle the three services together. Instead, Dish and its larger competitor DirecTV have been relying on partnerships with telephone companies who provide phone and Internet service with a satellite television package.
The current generation of satellite broadband services are not well-rated by their customers. Capacity shortages force providers to place strict limits on usage, which makes the service largely useless for high bandwidth applications — especially video.
Watch HughesNet’s advertisement promising “blazing fast” speeds in contrast to an actual speed test completed by one of their customers, at a non-peak-usage time. (2 minutes)
CBC Radio One: The Current explores Internet Overcharging in Canada:
It’s hard to believe that just eighteen years ago — back in 1993 — we were only beginning to grasp what the Internet could do for us. Today, the Internet is an integral part of the global economy, a powerful political tool, and something many couldn’t imagine living without. That’s partly why the cost of Internet access has been at the centre of a national debate for the past week.
The debate was sparked by the CRTC’s decision to approve what’s known as “usage-based billing.” Then Federal Industry Minister Tony Clement tweeted that Ottawa wouldn’t accept the ruling. And the CRTC is now reviewing its decision and has put out a call to Canadians asking them to weigh in with their opinions.
Today we look at the implications of the different ways of charging for Internet access and we also ask if the Internet should be treated more like a utility or even a human right.
CBC Radio One’s program, The Current explores Canada’s attitude towards usage-based billing and what implications it hold for an increasingly digital society. Steve Anderson from Openmedia.ca joins the program to debate the notion usage-based billing “saves” light users’ money. (28 minutes)
You must remain on this page to hear the clip, or you can download the clip and listen later.
Be Sure to Read Part One: Astroturf Overload — Broadband for America = One Giant Industry Front Group for an important introduction to what this super-sized industry front group is all about. Members of Broadband for America Red: A company or group actively engaging in anti-consumer lobbying, opposes Net Neutrality, supports Internet Overcharging, belongs to […]
Astroturf: One of the underhanded tactics increasingly being used by telecom companies is “Astroturf lobbying” – creating front groups that try to mimic true grassroots, but that are all about corporate money, not citizen power. Astroturf lobbying is hardly a new approach. Senator Lloyd Bentsen is credited with coining the term in the 1980s to […]
Hong Kong remains bullish on broadband. Despite the economic downturn, City Telecom continues to invest millions in constructing one of Hong Kong’s largest fiber optic broadband networks, providing fiber to the home connections to residents. City Telecom’s HK Broadband service relies on an all-fiber optic network, and has been dubbed “the Verizon FiOS of Hong […]
BendBroadband, a small provider serving central Oregon, breathlessly announced the imminent launch of new higher speed broadband service for its customers after completing an upgrade to DOCSIS 3. Along with the launch announcement came a new logo of a sprinting dog the company attaches its new tagline to: “We’re the local dog. We better be […]
Stop the Cap! reader Rick has been educating me about some of the new-found aggression by Shaw Communications, one of western Canada’s largest telecommunications companies, in expanding its business reach across Canada. Woe to those who get in the way. Novus Entertainment is already familiar with this story. As Stop the Cap! reported previously, Shaw […]
The Canadian Radio-television Telecommunications Commission, the Canadian equivalent of the Federal Communications Commission in Washington, may be forced to consider American broadband policy before defining Net Neutrality and its role in Canadian broadband, according to an article published today in The Globe & Mail. [FCC Chairman Julius Genachowski’s] proposal – to codify and enforce some […]
In March 2000, two cable magnates sat down for the cable industry equivalent of My Dinner With Andre. Fine wine, beautiful table linens, an exquisite meal, and a Monopoly board with pieces swapped back and forth representing hundreds of thousands of Canadian consumers. Ted Rogers and Jim Shaw drew a line on the western Ontario […]
Just like FairPoint Communications, the Towering Inferno of phone companies haunting New England, Frontier Communications is making a whole lot of promises to state regulators and consumers, if they’ll only support the deal to transfer ownership of phone service from Verizon to them. This time, Frontier is issuing a self-serving press release touting their investment […]
I see it took all of five minutes for George Ou and his friends at Digital Society to be swayed by the tunnel vision myopia of last week’s latest effort to justify Internet Overcharging schemes. Until recently, I’ve always rationalized my distain for smaller usage caps by ignoring the fact that I’m being subsidized by […]
In 2007, we took our first major trip away from western New York in 20 years and spent two weeks an hour away from Calgary, Alberta. After two weeks in Kananaskis Country, Banff, Calgary, and other spots all over southern Alberta, we came away with the Good, the Bad, and the Ugly: The Good Alberta […]
A federal appeals court in Washington has struck down, for a second time, a rulemaking by the Federal Communications Commission to limit the size of the nation’s largest cable operators to 30% of the nation’s pay television marketplace, calling the rule “arbitrary and capricious.” The 30% rule, designed to keep no single company from controlling […]
Less than half of Americans surveyed by PC Magazine report they are very satisfied with the broadband speed delivered by their Internet service provider. PC Magazine released a comprehensive study this month on speed, provider satisfaction, and consumer opinions about the state of broadband in their community. The publisher sampled more than 17,000 participants, checking […]